The state cabinet of Uttar Pradesh, in its first e-cabinet meeting on Monday, approved guidelines for production of ethanol from sugarcane juice and syrup.
“Cabinet has approved guidelines for production of ethanol from cane juice and syrup in the distilleries of the state,” excise commissioner P Guru Prasad confirmed. “The decision will aid in reducing excess sugar stocks, increasing liquidity with the sugar mills for settling cane farmers’ dues and making higher ethanol available for Ethanol Blended Petrol (EBP) Programme,” he added. Also Read: Excess sugarcane woes: Switching from sugar to ethanol production is the only way out!
Another official dealing with the issue revealed that the excise department was ready with a policy allowing making ethanol from grain, as well. “The proposal seeking nod for the proposed policy and guidelines for making ethanol from grain, including wheat, will also be put before the cabinet for its approval within next two week or so,” the official said.
Surplus sugar production has depressed sugar prices, thereby impacting sugar industry’s capacity to pay sugar cane farmers. The ex-distillery price of ethanol derived from cane juice is Rs 62.85 per litre while that from C- heavy molasses is Rs 45.69 per litre for the ethanol supply year beginning December 2020. Higher remunerative price for ethanol produced from cane juice will help in reduction of cane farmer’ arrears. Also Read: Gadkari launches India’s first-ever diesel-converted CNG tractor
“The cabinet decision will empower the sugar mills to choose between production of sugar or production of ethanol from cane juice, based on viability of market price of sugar, further improving the income of sugar mills and thereby better cane payment to farmers,” Guru Prasad pointed out. Also Read: Pappammal: Tamil Nadu’s 106-year old woman receives Padma Shri award for her role in organic farming